Seoul bourse to trade weaker next week

SEOUL, Nov. 15 (Yonhap) -- The South Korean stock market is likely to move in a
narrow range next week as investor sentiment remains fragile amid global
financial turmoil, analysts said Saturday.
The benchmark Korea Composite Stock Price Index (KOSPI) closed this week at
1,088.26, down 4.07 percent from the previous week.
The KOSPI underwent volatile trading this week as dismal U.S. corporate earnings
reports like the one from General Motors and tightened liquidity conditions
facing local builders and other smaller firms dented investor sentiment.
Financial and builder shares lost ground on lingering concerns over their funding
squeeze although the government and the central bank unveiled measures to
stabilize the financial markets.
Analysts said the Seoul bourse is not likely to fall below the 1,000 point mark
next week as investors may take comfort from possible positive outcomes from the
Group of 20 summit, but it is too early to predict whether the KOSPI will gain
momentum.
Expectations are rising that South Korea may expand its currency swap deals with
China and Japan through negotiations at the G-20 meeting.
"The Seoul bourse is not likely to test the bottom next week, but the key stock
index may trade around the 1,000-point level," said Lee Seung-woo, an analyst at
Daewoo Securities Co.
sooyeon@yna.co.kr